Insta Products Nutritionally-enriched Porridge Project
© Picture courtesy of Acumen Fund.
In November 2008, the GAIN Acumen Portfolio Fund awarded US$ 1 million loan to Insta Products (EPZ) Limited. Insta Products (EPZ) Limited is a Kenya-based private manufacturing company developing a protein and vitamin-rich formulation of a low-cost porridge product for children 6 to 24 months old. Porridge (“uji”) is eaten every day by three million people in urban Kenya alone. Acumen’s investment will enable Insta to set up a new local factory within Kenya to manufacture and serve the local Kenyan donor and retail markets, and ultimately the East African region. The funds will specifically be used for marketing and product launch in Kenya, capital expenditure on new equipment and initial working capital.
Insta intends to manufacture up to 12,600 metric tons (MT) per year of nutritionally-enriched porridge. Insta is targeting consumers through traditional market channels including kiosks, shops, and supermarkets. It is also working with local faith-based institutions and non-governmental organizations that market the uji to high need people within their communities and in difficult to reach project locations.
The project has the potential of serving 10 million low income consumers and catalyzing an affordable nutrition market in East Africa. The retail market is estimated at over 6.1 million Kenyan uji consumers living in urban and peri-urban areas, with at least three million of these consuming uji at least once a day and another three million on a weekly basis. In a best case scenario, with demand for Insta’s product at maximum capacity for the factory, Insta can deliver nearly 13,000 MT of uji each year, targeting half of that annual production for use by children. Assuming a yearly intake of 150 servings, the project will reach more than 850,000 children annually. GAIN will evaluate the impact that the retail product will have in reducing malnutrition in the country.
Project is still ongoing.
The loan is for a period of six years.